How to Accept Crypto Payments - Cryptocurrency for Business - Page (2024)

Small and large businesses have started accepting digital money due to their rising global prevalence. Based on blockchain technology, these currencies offer fundamental benefits, from lower costs to higher security. Integrating them into your website has become essential, especially when approaching a larger market. In this article, we will explain in detail how you should accept crypto payments for your particular business.

How to Accept Crypto Payments

• Check cryptocurrency laws in your region
• Configure crypto wallet or gateway
• Integrate crypto payments into the checkout process
• Add cryptocurrency payments to your account

Quick Insight on How Crypto Payments Work

Cryptocurrencies are based on blockchain, a constantly updated record of all transactions. Owning coins or tokens means holding a digital asset rather than a physical one. Crypto operations can eventually be processed from one person to another without an intermediary.

Crypto wallets are very similar to digital wallets. If you are familiar with Apple Pay or Android Pay, you won’t find crypto payments difficult. You don’t have to convert digital currency into fiat currency as long as you have a special account linked to a payment processor. The transaction details automatically appear in your account.

Costs for Accepting Crypto Payments

The standard transaction fee for making crypto payments is 1% or less. Some providers may request a network fee. For example, making a payment via the bitcoin blockchain would need you to pay $1.3 extra. Despite these fees, the cost of processing such transactions is still lower than traditional methods.

The standard transaction fee for crypto payments is 1% or less, with possible network fees (for example, $1.3 for Bitcoin). Despite these fees, processing crypto payments is cheaper than traditional methods.

How to Accept Crypto Payments on Website?

If your online business uses digital money, you should know how to receive crypto transactions on your website. Before starting, you need to find a provider that would handle the technical and regulatory aspects. Here is the traditional flow of a crypto transaction.

1. Check cryptocurrency laws in your region

Crypto is an effective payment method for your business. However, it hasn’t been fully regulated worldwide. This is why you should do the following:

• Check local cryptocurrency laws. Make sure you are allowed to have a crypto account as an investor.
• Look through your provider’s cryptocurrency policy. Review the available user agreements.

2. Configure crypto wallet or gateway

Do you want to receive your crypto payments as digital or fiat money? Depending on the selected provider, you’ll need to take specific steps to set up your account.

2.1 Crypto wallet

You will need to create a crypto wallet to collect and store digital money for a long time without exchanging it for fiat money. Make sure it works with the cryptocurrency you plan to use on your website.

2.2 Crypto payment gateway

You do not need a separate crypto wallet if you consider using a gateway to accept payment in crypto. The gateway serves as an intermediary in your transaction. It allows you to receive the asset and get fiat currency in return in your personal account. For example, brokerage companies integrate a payment gateway API into their platforms, where the users manage their funds before and after trading operations. Let’s see why it is the best option for your business.

3. Integrate crypto payments into the checkout process

Users will be able to make crypto payments in your online store. Just make crypto payment part of the checkout process.

3.1 How to integrate cryptocurrency wallets

You need to choose a crypto wallet, admired by merchants and retailers in different parts of the world. To integrate one into your platform, you need to take the following steps:

1. Select a crypto wallet. Find a wallet that would guarantee a high level of security, convenience, and functionality. For example, MEXC and Trust Wallet.
2. Register an account. Generate unique API keys to enable secure transfers for customers
3. Install the wallet plugin or SDK. Choose among these integration methods and proceed with installation.
4. Adjust settings. Follow the wallet’s instructions to configure the settings for the wallet integration.
5. Test the integration. Ensure the wallet works smoothly throughout the checkout process.
6. Launch the crypto payment solution on your platform. Roll out the wallet for your customers to use efficiently. Use initial feedback to make the necessary corrections.

3.2 How to integrate cryptocurrency payment gateways

You need to make the selected gateway part of the checkout process on your website. Depending on the website’s complexity, this stage may require serious development work. Here is what needs to be done:

1. Do research. Analyze your business needs, target audience, and market trends. Assess the scope of your payment gateway, including fees, digital currencies, and geographical boundaries.
2. Select a blockchain. Opt for the option that meets your strategic needs. Consider choosing highly scalable and fully established technology.
3. Implement security measures. Establish a security infrastructure based on the strict industry regulations.
4. Set up your account. Provide your brand name and contact information as requested.
5. Create API keys. Make a crypto payment gateway connected with other systems. Integrate transaction status checks, payment realization, order management, and other functions.
6. Test the integration. Ensure the gateway works smoothly throughout the checkout process.
7. Launch the crypto payment solution on your platform. Start with a limited customer base. Check initial feedback to make the necessary improvements.

4. Add cryptocurrency payments to your account

You should keep an eye on digital payments and report them to the responsible institutions when the time comes. Establishing an accounting program can help you deal with tax obligations. Discuss the details with an expert to ensure you take crypto payments properly.

What are the benefits of accepting payments in cryptocurrency

The gateway becomes a common choice for commercial services. Let’s explore some key benefits:

The benefits of accepting payments in crypto:

• A higher level of security
• Lower transaction fees
• Larger customer base
• Absent chargebacks
• Global access
• Instant processing

1. A higher level of security

Payment processors do not collect any sensitive information. Cryptographic signatures and private keys create a special layer of security, which minimizes cyber attacks or data breaches. Accepting crypto payments is less vulnerable to risks.

2. Lower transaction fees

Crypto transactions are processed between the buyer and seller, with no intermediaries (banks or brokers). As a result, there are low transaction fees (up to 1%) compared to traditional payment methods.

3. Larger customer base

The use of digital assets is widely circulated, especially in developing countries. Companies that receive crypto payments can build a larger customer base. This will help them survive in the competitive market.

4. Absent chargebacks

Central authorities do not regulate crypto payments. In the case of legal discourse, companies do not have to handle chargebacks (around $25 per case), which can simplify the resolution process and reduce potential losses. This can be particularly beneficial for businesses.

5. Global access

If your shop is oriented on the global clientele, accepting crypto would make your business more efficient. Receiving digital money can help you approach customers worldwide and expand the market.

6. Instant processing

When you accept cryptocurrency as payment, you should be ready to receive and send coins instantly. The average financial operation may take a few minutes only. The short waiting period makes the interaction between businesses and customers more productive.

What are the drawbacks of taking payments in crypto

Accepted crypto payments may come with certain risks, including:

• Limited regulations. Cryptocurrencies face frequent regulatory changes across the world. Businesses may require additional resources to stay updated.
• Unpredictable value. The price of cryptocurrency doesn’t stand still. This has a direct impact on how much businesses earn from each transaction.
• Technical complexity. Commercial companies must follow recent tech solutions, including crypto wallets or gateways. An additional tech stack is required for taking payments.

Conclusion

While not a lot of places accept crypto directly, it’s clear that the smooth acceptance and processing of crypto payments on the commercial site can help your business reach new heights. Apart from saving time and money, it is possible to increase your global presence. If you consider keeping your company ahead of the competition, make sure to reap the benefits of digital money. This guide can educate you on how to integrate crypto payments on website. You’ll see the results in no time.